August 2023

The rising popularity of fragrance plug-ins and the introduction of men’s grooming weren't enough to forestall Bath & Body Works’ sales from sliding in its second quarter, although earnings performed higher than expected. Despite it looking increasingly likely that the U.S. will avoid a recession within the near term, Gina Boswell, the retailer’s newly minted chief executive officer, told analysts that customers tightened their purse strings through the quarter amid economic uncertainty. The remark mirrored that of other leading retail CEOs in recent days, from Macy’s Inc. to Kohl’s Inc. “As expected, we proceed to see some pressure on basket size through the quarter,” Boswell said. “To be clear, we aren’t seeing any trade down in our business, but we’ve observed that...